Parallel Market Exchange Rates Go Down
Exchange rates on the parallel market have reportedly gone down in the last two weeks from US$1:$200 to around US$1:$165.
This follows the introduction of a cocktail of measures by the Reserve Bank of Zimbabwe (RBZ) to curb the exchange rate that was rising at a very quick pace.
A snap survey conducted by NewZimbabwe.com in Harare’s Fourth Street, Copacabana area, Central Business District zone as well as Mbare Musika areas confirmed the latest declines. Said one dealer who identified himself as Godwin:
I am now paying $165 per every US$1 and I am actually the highest here since most dealers are paying far much lower than that. Some are even paying as low as $130 per every US$1 and if you take more time moving around you risk getting a much lower rate.
The dealers also complained over their incapacity to push high volume trades which they attributed to stricter procedures on cash movements being implemented by the banks.
At Mbare Musika market, dealers were however paying $140, 00 cash per every US$1 but bank transfers remained at $165, 00.
Even the payment of civil servants’ salaries this week did not manage to escalate the exchange rates as anticipated earlier by a section of market watchers.
A prominent economist, Doctor Prosper Chitambara, attributed the shifts to the hard clampdown exerted by authorities this week.
He added that long term stability will, however, depend on the measures put in place by authorities to bridge the gap between foreign currency demand and supply among other factors.
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